For a property to qualify for a 1031 exchange, it generally needs to be held as an investment or for productive use in a trade or business, which typically excludes properties built with the intention of selling.

We have several qualified people who have already requested an employment application.

The challenge with high balance equity lines on investment properties is that the qualifying ratios can be high. 

A lot of DSCR lenders are technically POF lenders as they only qualify on 4 things: 1) valid driver's license 2) FICO score 3) rent is more than the PITI of the proposed property and 4) proof of funds for the down payment and closing costs and reserves.

He usually sends me over his buyers who need a renovation program then I send them back if the qualify.

I primarily invest in syndications with my non-qualified accounts so I can take full advantage of the tax benefits.I think the work involved for both is similar - you need to vet the operator, analyze the deal and then wire the money.  

Are there any PMLs who will pre-qualify you so that you can pull the trigger (with their approval) ASAP?   

You don't really know what you can afford or what's reasonable or if you're even able to qualify until you have a lender look over your income, assets, and credit.

Given that she is a CONSUMER it may be difficult qualify her ABILITY to REPAY.  

You can defer capital gains taxes on the ADU through the 1031 exchange, while the portion of the property you’ll use as your primary residence would not qualify and would be subject to capital gains tax as usual.